3 in 5 Americans believe we’re in a recession, research finds

INDIANAPOLIS (WISH)– New research finds that a majority of people actually think the economy is doing even worse than the “experts” say it is.

In fact, 3 in 5 people believe that the U.S. is currently in a recession, even though we’re not officially in one, according to Talker Research on behalf of the a buy-now, pay-later service Affirm.

Vishal Kapoor, senior vice president of product at Affirm, said in a statement, “With confidence in the U.S. economy at a low point, consumers are urgently seeking ways to feel in control of their finances. Amidst these levels of uncertainty and doubt, we believe that the antidote to the current ‘vibecession’ is greater choice and transparency in how people manage their finances.”

The survey of 2,000 Americans explored what’s driving the lack of consumer confidence in the economy. Inflations and the rising cost of living topped the list of reasons.

The researchers also found that 2 in 3 Americans thinks the current inflation rate is  “negatively affecting their future plans,” which include their ability to save and afford upcoming purchases.

Kapoor said in the statement, “While conversations around money may contribute to the pessimistic outlook on the economy, it also means that people are discovering smarter ways to pay, including options to pay over time without any late or hidden fees.”

On average, respondents who feel the U.S. is in a recession believe it started over 15 months ago, roughly in March 2023. Also, they don’t expect it to go anywhere quickly, believing their feelings about a recession will last until around July 2025.